MNB FX swap stock falls HUF 25 bln after tender
Jessica Fejos
The stock of "fine-tuning" FX swaps of the National Bank of Hungary (MNB) will fall by about HUF 25 billion to HUF 1,586 bln as the result of a tender on Monday, data released by the central bank show, as reported by state news wire MTI.
The MNB allocated HUF 49.8 bln (EUR 161 mln) of twelve-month forint swaps against euros at the tender.
One-month swaps with a value of HUF 74.9 bln will mature on January 31, the value date of the tender, reducing the stock of one-month swaps to zero.
The tender thus brings the composition of the stock to HUF 215 bln of three-month, HUF 98 bln of six-month, and HUF 1,273 bln of twelve-month swaps, the MNB said.
The central bank introduced the tenders for the FX swaps in the autumn of 2016 as an instrument for managing market liquidity after it put a cap on placements in three-month deposits, its main sterilization instrument, MTI recalled.
Hungary CPI Drop Acknowledged at IMF/World Bank Spring Meeti...
Hungary to Address Future of Cohesion Policy During EU Presi...
AI may Save Hungarian Healthcare, Says Leading Doctor
Time Out Market to Open in Budapest Next Year
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
